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Gangwer Corporation produces a single product and has the following cost structure:
Number of units produced each year
8,000
Variable costs per unit:
Direct materials
$53
Direct labor
$23
Variable manufacturing overhead
$15
Variable selling and administrative expense
$11
Fixed costs per year:
Fixed manufacturing overhead
$312,000
Fixed selling and administrative expense
$224,000
The absorption costing unit product cost is (Do not round your intermediate calculations.):
$130.0
$92.0
$141.0
$39.0
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